A filed tax lien encumbers all real and personal property used in the business and owned by the taxpayer and/or the business. The tax lien becomes public record. It also allows the Department to enforce collections of the debt.

Examples of enforced collections include:

Levy of bank accounts,

Garnishment of wages,

Seizure and sale of assets or real property to retire the debt, and

Revoking a business registration endorsement.

A filed tax lien will appear on a taxpayer's credit history for 7 - 10 years, even after the debt is paid in full. It also adds additional penalties, interest, and fees to the amounts outstanding.